OUTLOOK AND TRENDS OF

INDIAN RUBBER INDUSTRY

INDIA AT A GLANCE

Population (2016) 1.324 Billion (China 1.379 & USA 323.1 Million)

Major International Ports 28 (Other Domestic Airports -132)

Sea Ports of Entry Major Ports 12

Minor and Intermediate Ports 200

Economy Growth rate as per

IMF

2016/17 – 6.7%

2017/18 – 7.4%

Inflation Rate In India 6.85%

Increase in Industrial

Production

5.3% in 2017 & expected to increase in 6.2% in

2018

Foreign Exchange Reserves USD 402 Million

Target Exports by 2017 USD 900 Billion

Sea Ports Major Sea Ports – 12 Minor & Intermediate Sea Ports – 200 Airports International Airports – 28 Domestic Airports - 120

Note: The Figures here represent only the net

increase in working age population. In absolute

terms, China will still account for greater level of

population in the 15-64 age group (988 Million)

compared to India (923 Million) in 2020

OVER VIEW OF INDIAN RUBBER INDUSTRY

Annual Turnover (2015)

Tyre

Non Tyre

USD 8.5Billion

USD 5.5 Billion

Total number of Rubber factories 6000

Large Scale Rubber Factories

Number of Plants

39 (Tyre)

60

Medium Size Rubber Factories 300

Small Size and Tiny Rubber Factories 5600

Number and Type of Rubber Products

produced

35,000

People Employed 0.4 Million

PER CAPITA RUBBER CONSUMPTION

OF VARIOUS COUNTRIES COUNTRY KILOGRAM

JAPAN 11.51

CANADA 7.73

GERMANY 7.57

USA 6.95

FRANCE 5.32

ITALY 4.31

BRAZIL 3.65

UK 2.86

AUSTRALIA 2.15

INDIA 1.12

CHINA 5.80

WORLD AVERAGE 5.36

TECHNICAL MANPOWER

NO INSTITUTE / UNIVERSITY AREA OF SPECIFICATION

1 Indian Institute of Technology - Delhi Polymer Science

2 Indian Institute of Technology - Madras Polymer Science

3 Indian Institute of Technology – Kharagpur Rubber Technology

4 CEG, Anna University, Chennai Polymer Science and Technology

5 MIT, Anna University, Chennai Rubber & Plastics Technology

6 Calcutta University, Kolkata Plastics & Rubber Technology

7 LD College of Engineering, Ahmedabad Rubber Technology

8 Sri Jayachamarajendra college of Engineering, Mysore Polymer Science

9 Mahatma Gandhi University, Kottayam Polymer Science

10 Tezpur University, Assam Polymer Science

11 Cochin University of Science and Technology, Kochi Rubber Technology

12 Gujarat Technological University, Ahmedabad Rubber Technology

13 The Mumbai University Institute of Chemical

Technology, Mumbai

Polymer Science

14 Madurai Kamaraj University, Tamilnadu Polymer Science

15 Delhi Technological University Polymer Science Number of Polytechnics = 22

Skilled Development being done by RSDC for all unit operations in the rubber industry

INDIAN RUBBER INDUSTRY – WORLD STANDING Source: ATMA

PARAMETER UNIT INDICATOR

According to NR Consumption Rank Second

According to total Polymer

consumption

Rank Fourth

According to NR Production Rank Third

According to NR Productivity Rank First

According to Reclaim Rubber

Production

Rank Second

RAW MATERIAL AVAILABILITY

No Domestic Production of Butyl Rubber and

EPDM

Production of Nylon Tyre Cord Fabric,

Polybutadiene Rubber, Styrene, Butadiene

Rubber; Rubber Chemicals, Steel Tyre Cord,

Polyester Tyre Cord insufficient to meet domestic

demand

Future Business Prospects in India • Asia is now the focus of growth in the rubber industry. All the world’s natural rubber is

grown in this region namely Thailand, Indonesia, India, Malaysia, Sri Lanka and so on. The fastest growing economies in the world are here namely China, India, Korea, Malaysia etc. World’s power house Japan is here. The largest investments in new synthetic rubber plants are coming up in Asia. Production of all auto majors is shifting to Asia, even as consumption wise Asia’s share in the world’s auto market grows

• Highest growth and availability of technically trained manpower for the rubber industry in this region. While EU and US have now become a saturated market for the rubber industry all the action is shifting to Asia

• Low demand growth for end products, high labor products, very strict environmental norms, non availability of natural rubber in the backyard are all propelling the worlds major input suppliers for the rubber industry to look towards Asia

• India, with an extensive plantation sector, availability of basic raw materials in abundance, availability of cheap labor, technically skilled man power and a vast domestic market is need of new investments for major raw materials and various rubber products particularly technically rubber goods

• Free Trade Agreements with more countries particularly from Asia and Government policy to allow foreign direct investment (FDI) and Foreign Institution Investment (FII) offer good scope for joint venture business activity